Afcons Infrastructure Shares FY27 Guidance on CapEx, Debt & Order Booking

Afcons Infrastructure Limited shared key financial and operational guidance for FY27 during its Q4 and FY26 earnings conference call held on May 19, 2026, at 11:00 a.m. IST. While the management declined to provide specific revenue growth or EBITDA margin targets citing continued geopolitical uncertainty, elongated award cycles, and ongoing project developments, it offered detailed guidance on capital expenditure, debt reduction, working capital, and order booking.

Earnings Call Details

The conference call was held in compliance with Regulation 30 and 46 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The audio recording of the call has been uploaded to the company's official website, ensuring stakeholders and investors can access the management's discussion regarding the financial performance for the reported period. The submission was formally addressed to the Compliance Manager of BSE Limited and the Manager of the Listing Department at the National Stock Exchange of India Ltd for their records and information.

Parameter	Details
Event	Q4 & FY26 Earnings Conference Call
Date	May 19, 2026
Time (IST)	11:00 a.m.
FY27 Revenue Guidance	Not Provided
FY27 EBITDA Margin Guidance	Not Provided

FY27 Capital Expenditure & Debt Outlook

Management provided specific guidance on capital allocation and balance sheet improvement for FY27. The following key targets were outlined during the concall:

Parameter	Details
FY27 CapEx	~INR725 crores
Debt Outlook	Sizable drop expected in FY27
Target Working Capital Days	~120 days
Receivables Expected to be Unlocked	~INR1,000 crores by June

Management expects a sizable reduction in debt for FY27 and is targeting a reduction in working capital days to approximately 120. Additionally, approximately INR1,000 crores of receivables are expected to be unlocked by June, which is anticipated to support the company's liquidity position.

Order Booking Guidance

Afcons Infrastructure provided detailed order booking guidance for FY27, reflecting strong near-term visibility in its project pipeline. The management outlined the following order booking targets:

Parameter	Details
Total Order Booking Guidance (FY27)	INR30,000 crores
Orders with Clear Visibility (incl. L1 orders)	INR15,000 crores
Orders with Definitive Visibility	INR15,000 crores

The total order booking guidance for FY27 stands at INR30,000 crores. Of this, INR15,000 crores have clear visibility, including L1 orders, while the remaining INR15,000 crores also carry definitive visibility, according to management commentary during the concall.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-1.39%	-9.82%	-9.92%	-24.45%	-35.40%	-36.49%

Afcons Infrastructure has retained its Buy rating from Nomura, with the brokerage setting a target price of ₹417, even as the company posted a weak operational performance in Q4FY26 and missed earnings expectations. While the near-term results fell short, Nomura's assessment underscores confidence in the company's longer-term growth trajectory, anchored by a strong order pipeline and improving inflow visibility.

Brokerage Stance and Target Price

Nomura's decision to maintain its Buy recommendation reflects a forward-looking perspective on Afcons Infrastructure's fundamentals. The brokerage has set a target price of ₹417, signalling meaningful upside potential from current levels. The key parameters supporting Nomura's rating are summarised below:

Parameter:	Details
Rating:	Buy
Target Price:	₹417
Order Pipeline:	₹4 trillion
Expected FY27 Order Inflows:	₹300 billion
Projected EPS CAGR (FY26–29):	37%

Q4FY26 Performance and Estimate Revisions

Afcons Infrastructure's Q4FY26 results were characterised by weak operational performance and an earnings miss relative to market expectations. In response to the softer-than-anticipated quarterly showing, Nomura has revised its earnings estimates downward for FY27 and FY28. Despite these cuts, the brokerage maintains that the medium-to-long-term earnings outlook remains intact, supported by structural demand drivers in the infrastructure sector.

Order Pipeline and Inflow Outlook

A central pillar of Nomura's positive thesis is Afcons Infrastructure's substantial order pipeline. The company boasts a robust pipeline of ₹4 trillion, which provides significant revenue visibility over the coming years. Additionally, Nomura expects order inflows of ₹300 billion in FY27, reflecting continued momentum in project wins. These factors are seen as critical in sustaining the company's revenue and earnings growth over the medium term.

Valuation and Earnings Growth Outlook

Nomura has highlighted attractive valuations as a key reason to maintain the Buy rating, suggesting the stock offers a compelling entry point relative to its long-term earnings potential. The brokerage projects a 37% EPS CAGR over FY26–29, indicating strong expected earnings compounding despite the near-term headwinds. The combination of a large order book, healthy inflow expectations, and an attractive valuation profile forms the basis of Nomura's constructive outlook on Afcons Infrastructure.